I. Summary - Introduction
Partnerships, such as general partnerships, are legal entities
through which small and medium-sized businesses operate. These
businesses typically have a family-oriented or otherwise closed
structure regarding the individuals involved in the corporate
scheme. Due to the close and trusting relationships established
among the members of a general partnership, the management and
representation of the partnership, unless stipulated otherwise in
its articles of association, generally rest with all partners, who
can act individually without requiring the cooperation of
others.
However, the members of the partnership may stipulate in its
articles of association that specific individuals shall serve as
managers and representatives. This provision is not immutable, as
the members of the partnership can revoke the management and
representation powers granted to specific individuals, particularly
if they commit managerial errors.
